VERTU Capital has teamed up with BDC Capital to acquire Toronto-based Firmex, a provider of virtual data rooms and secure document sharing solutions. The seller is Novacap. The Bank of Montreal is providing the debt financing for the transaction that was done in partnership with Firmex executive management team. RBC Capital Markets provided financial advice to Firmex on the deal.
TORONTO (PRWEB) FEBRUARY 05, 2019
Firmex announced today that VERTU Capital has partnered with BDC Capital and the Firmex executive management team to acquire Firmex, one of the fastest-growing and most widely-used providers of virtual data rooms and secure document sharing solutions, from Novacap, a Montreal-based private equity firm. Debt financing was provided by the Bank of Montreal.
Headquartered in Toronto, Canada, Firmex is a leader in the global virtual data room market. More than 120,000 companies in 80 countries worldwide – including leading global financial and legal intermediaries, investment firms and corporations – have trusted Firmex as their virtual data room provider. Offering an intuitive and robust SaaS product, Firmex’s relentless focus on providing superior customer service has resulted in high customer value and retention. In 2018, clients created more than 15,000 new Firmex data rooms to share large volumes of confidential documents for a variety of mission-critical processes including due diligence, litigation and compliance across a range of industries.
“VERTU Capital was founded with the vision of working with great Canadian technology companies to help them achieve their goals. Firmex’s commitment to product excellence and customer service has distinguished the company as a trusted partner to its clients,” said Lisa Melchior, Founder of VERTU Capital. “We are excited to partner with BDC Capital and Firmex management on the acquisition and look forward to supporting the team on their journey as they continue to build a world-class company.”
“With this investment, BDC Capital had the opportunity to back a high-growth Canadian technology company,” said Claude Miron, Vice President, Growth Equity, BDC Capital, “Firmex is an exceptionally well-managed business with a number of ambitious growth initiatives in store and we look forward to helping them scale globally. Lisa Melchior is a knowledgeable and experienced investment professional who has set out to build a premier technology-focused private equity firm, and we look forward to partnering with her. Investing in Firmex alongside VERTU Capital, a female-led private equity firm, also met a goal for BDC, which is supporting women in leadership positions, especially as it relates to technology.”
“After a successful partnership with Novacap, we are excited to partner with VERTU and BDC Capital as we embark on the next chapter of growth for Firmex,” added Firmex’s Chief Executive Officer and Co-Founder, Joel Lessem. “Our goal has always been to provide our customers with a robust, reliable, and secure platform for managing confidential documents. We believe our new partners’ expertise and experience will only help us to accelerate our growth.”
Firmex was a portfolio company of Novacap TMT IV, a Montreal-based private equity firm.
“We have been extremely pleased with our investment in Firmex and the shareholder value the company and the management team have created. We wish Joel and his team much continued success,” commented Yong Kwon, Partner at Novacap.
RBC Capital Markets acted as exclusive financial advisor to Firmex.
About VERTU Capital
VERTU is a Canadian technology private equity firm that invests in premier late stage companies. Founded by technology private equity veteran Lisa Melchior, VERTU seeks to partner with businesses that have transformational growth potential and excellent management teams looking for an investor thought partner. VERTU is focused on the achievement of a company’s long-term goals, offering extensive knowledge valuable through all phases of growth. VERTU has the experience to support teams that are doing great things at a rapid pace. For more information, please visit http://www.vertucapital.ca.
About BDC Capital
BDC Capital is the investment arm of BDC – Canada’s only bank devoted exclusively to entrepreneurs. With $3 billion under management, BDC Capital serves as a strategic partner to the country’s most innovative firms. It offers a full spectrum of risk capital, from seed investments to transition capital, supporting Canadian entrepreneurs who wish to scale their businesses into global champions. Visit bdc.ca/capital.
Founded in 1981, Novacap is a leading Canadian private equity firm with $2.3 billion of assets under management. Novacap has raised $375 M for its TMT IV Fund and over $840 M for its TMT V Fund. The firm’s unique investment approach, based on deep operational expertise and an active partnership with entrepreneurs, has helped accelerate growth and create long-term value for its numerous investee companies. With an experienced management team and substantial financial resources, Novacap is well positioned to continue building world-class companies. For more information, please visit http://www.novacap.ca.
About Firmex Inc.
Firmex is a global provider of virtual data room and secure document sharing solutions. As one of the world’s most widely used virtual data rooms, Firmex supports complex processes for organizations of all sizes, including diligence, compliance and litigation. Whenever professionals need to share sensitive documents beyond the firewall, Firmex is their trusted partner. A Firmex subscription provides simple, safe and stress-free document sharing without hidden costs or complexity. Since 2006, Firmex has helped over 120,000 companies worldwide take control of their confidential documents. For more information, please visit http://www.firmex.com.